CHAPTER - I

INTRODUCTION

1.1 ATTRITION

Attrition is a universal phenomenon and no industry is devoid of it, but the degree
fluctuates from industry to industry. Attrition is a serious issue in the industries because
the industry is knowledge-based and hence employees are its “assets”.

Attrition mean “ a reduction in the number of employees through retirement,

resignation or death" employees would love their jobs, like their coworkers, work hard
for their employers, get paid well for their work, have ample chances for advancement,
and flexible schedules so they could attend to personal or family needs when necessary.
And never leave, Attrition levels vary very considerably from industry to industry. The
highest levels of turnover are found in private sector organizations

Attrition levels also vary from region to region. The highest rates are found where
unemployment is lowest and where it is unproblematic for people to secure desirable
alternative employment.

Deficiencies like inability to influence employee perception of growth; not

aligning employees to roles based on their individual talent, inflexibility in leadership
styles, are causing conflicts at a very intrinsic level, resulting in knowledge employees
choosing the proverbial “easy way out.”

There is no set level of attrition that determines at what point turnover starts to
have a negative impact on an employing organization’s performance. Everything depends

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on the type of labor markets. Where it is relatively easy to find and train new employees
quickly and at relatively little cost (that is where the labor market is loose), it is possible
to sustain high quality levels of service provision despite having a high attrition rate.

By contrast, where skills are relatively scarce, where recruitment is costly or

where it takes several weeks to fill a vacancy, turnover is likely to be problematic for the
organization. This is especially true of situations in which one is losing staff to direct
competitors or where customers have developed relationships with individual employees.

Some attrition positively benefits organizations. This happens when a poor

performer is replaced by a more productive employee, and can happen when a senior
retirement allows the promotion or acquisition of welcome Fresh blood. The more
valuable the employees in question the more damaging the resignation, particularly when
they move on to work for competitors.

Moderate levels of staff turnover can also help to reduce staff costs in
organizations where business levels are unpredictable month on month. When business is
slack it is straightforward to hold off filling recently created vacancies for some weeks.

There are many factors that can transform ordinary attrition into either positive or
negative attrition. As a result, few firms are beginning to classify their turnover as either
regrettable or desirable turnover. Whether attrition is good or bad depends primarily on
the business impact caused by the departure of the employee.

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1.1.1 ATTRITION RATE

An attrition rate, also known as a churn rate, can be a measure of two things. It
can be a measure of how many customers leave over a certain period of time or how
many employees leave over a certain period of time. An attrition rate can also be a
combination of these two factors.

An attrition rate is typically used in connection with a subscription service.

Whether it is a magazine, cell phone or Internet provider, all depend on stable
relationships with current customers in order to protect and grow the bottom line.
However, the term can be applied to other types of companies as well.

An attrition rate is a good way to measure growth for subscription services. If the
growth rate is more than the attrition rate, then the company has a net increase in growth.
The opposite, of course, is also true and a negative rate of growth could signal some type
of change is needed.

Many companies use an attrition rate as a good measure of customer service.

Keeping a customer, may be just as important as attracting a new one, if not more so.
Often a company may cite its attrition rate as a marketing tool. In such cases, it is not
referred to by the technical term, but rather a number of returning customers.

Companies that routinely use this promotional tactic are automobile

manufacturers, cable and satellite television services, and cell phone companies. These
industries have a reputation for poor customer satisfaction and a lower number of repeat
customers. So if they can cite a good attrition rate that may be a signal that they are
beating the standard set by the rest of the industry.

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In addition to customer satisfaction, an attrition rate can be a term used to measure
employee satisfaction. In general, many unskilled positions have a high attrition rate.
Companies keep track of this number for a variety of reasons.

1.1.2 ATTRITION RATE FORMULA

(No. Of attritions x 100)

Attrition rate =
(Actual Employees + New Joined)

100

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 1.2 INDUSTRY PROFILE

1.2.1 Introduction of salon industry

Today salons have an even greater opportunity to enjoy tremendous business and
financial success. As was demonstrated in the quality of entries judged in the biennial and
highly successful Global Salon Business Forum & Awards, in Barcelona, Spain
entrepreneurial salon owners were honored as business entrepreneurs from 21
participating countries.

Many of the leading salons of the world are enjoying genuine entrepreneurial
success, having built solid business models that deliver a profitable bottom line with their
success serving to inspire and expand better business practice in salons throughout the
world.

Educational programs to improve technical and creative skills have been readily
available throughout the professional salon industry for decades, with business and
management programs now becoming a more critical topic than ever before. Generally
these programs are aimed at improving the salon owner and manager’s leadership and
general business skills to accomplish greater success and profitability.

1.2.2 Growth in India

The beauty industry has grown by leaps and bounds over the last few years. As
the awareness about beauty and beauty products increases, parlours have been
burgeoning in not just the large towns, but also smaller towns in India. There is an
estimated 61,000 beauty salons in towns with over 1 million populations. More than half
of these are in the home segment, which means they are run by a single individual,

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mostly from her home. The estimated growth rate for this industry in terms of number of
parlours would be increased in the next few years.

1.2.3 ACTIVITIES

Hairdressing
Facial
Massage
Tattoo
Therapy
Pedicure
Manicure
Studio

1.2.3.1Hairdressing

A hairstyle, hairdo, or haircut refers to a styling of head hair. The fashioning of

hair can be considered an aspect of personal grooming, fashion, and cosmetics, although
practical considerations also influence some hairstyle Hairdresser - A barber (from the
Latin barba, "beard") is someone whose occupation is to cut any type of hair, give shaves,
and trim beards. In previous times, barbers also performed surgery and dentistry.

A person who cuts or styles hair as an occupation or profession. The hairdresser is

licensed to cut color and style the hair of actors in a production. He or she also styles and
cuts wigs when necessary.

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1.2.3.2 Facial
Facial is the care for the face that usually involves cleansing and massage and the
application of cosmetic cream

1.2.3.3 Massage
The manipulation of muscle and connective tissue to enhance the function of
those tissues and promote relaxation and well-being. Therapeutic massage can ease
tension and reduce pain. Massage can be a part of physical therapy or practiced on its
own. It can also be highly effective for reducing the symptoms of arthritis, back pain,
carpal tunnel syndrome, and other disorders of the muscles and/or nervous system.

1.2.3.4 Tattoo

The permanent insertion of ink or other pigments below the skin using a sharp
instrument. Humans have done tattooing for cosmetic and ritual purposes since at least
the Neolithic era. In the Western world, tattooing has historically served as a brand of
criminality, a sign of shame (like "The Scarlet Letter" of Nathaniel Hawthorne), a
tradition dating back at least to the biblical mark of Cain. Note along these lines also the
branding of slaves, the tattooing of prisoners of war in ancient Athens, and the marking
of the foreheads of French prisoners in the 18th and 19th centuries with letters signifying
their punishment. In the middle Ages tattooing was done of Christian pilgrims in
Jerusalem, the tattoo symbolizing the "stigmata of the Lord Jesus." In the Renaissance
tattooing was done of astrologic signs to invoke their magical powers.

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1.2.3.5 Therapy

Therapeutic massage involves the manipulation of the soft tissue structures of the
body to prevent and alleviate pain, discomfort, muscle spasm, and stress; and, to promote
health and wellness. Massage as, "a manual soft tissue manipulation that includes
holding, causing movement, or applying pressure to the body."

Massage therapy is “a profession in which the practitioner applies manual

techniques, and may apply adjunctive therapies, with the intention of positively affecting
the health and well-being of the client."

Massage therapy improves functioning of the circulatory, lymphatic, muscular,

skeletal, and nervous systems and may improve the rate at which the body recovers from
injury and illness. Massage involves holding, causing movement of soft tissue, and/or
applying pressure to the

1.2.3.6 Pedicure

A pedicure is a way to improve the appearance of the feet and their nails. It It also
means the care of the feet and toenails. A pedicure can help prevent nail diseases and
nail disorders. Pedicures are not just limited to nails; usually dead skin cells on the
bottom of feet are rubbed off using a rough stone called a pumice stone. Additionally,
leg care below the knee became a common and now expected service included in
pedicures. Leg care includes a provides a similar service to a manicure. The word
pedicure comes from the Latin words pedis, which means of the ankle, and cura, which
means care. Depilatory via either shaving or waxing followed by granular exfoliation,
moisturizing creams, and a brief leg massage. Any persons at risk for blood clots should
forgo leg massage.

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1.2.3.7 Manicure

A treatment for the care of the feet; now, esp., a trimming, cleaning, and
sometimes polishing of the toenails

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 1.3 COMPANY PROFILE

1.3.1 PROFILE

Trends In Vogue Pvt. Ltd., a group Company of CavinKare came into being in
July 2002 with a clear-cut focus on providing personal styling and beauty solutions to
everyone in the family. The Company has pioneered the concept of 'Family Salons' in
India with its specialist brands - Limelight, and Green Trends. With a team of
professionals, highly qualified cosmetologists and hair care specialists from its in-house
institution, Trends Academy and with the skill base of the CavinKare R&D team, Trends
in Vogue offers a range of Cosmetic treatments including those made from "natural"
ingredients.
Realizing that there was a need gap in the grooming industry, the Company has two
separate chains, catering to assorted wallet sizes. Green Trends has a range of men's and
women's Salons aimed at the middle class. Limelite is the premium brand of Salons
targeting upper crust men, women and kids to ensure that it offers 'an international
standard beauty care' to its customers. They use various products from different brands at
these Salons, including those that do not belong to them. The objective is to give the
consumer a service suitable for them.
Trends Academy
Trends Academy is the first of its kind Beauty training institution in South India.
It has brought professionalism and credited recognition to people who wished to make
beauty a profession. Creating careers in the field of beauty and styling, Trends Academy
has ushered in a comprehensive approach with in-depth focus on theory and techniques.

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 The emphasis of the academy is to train their students to acquire soft skills and
etiquette as well as the technical skills related to beauty and styling. Excellent facilities,
latest equipment, spacious classrooms and practice areas offer "hands-on" experience to
each student. Other facilities include Video demonstration, practice labs and practical
exposure in our Parlors. The academy has tie ups with City & Guilds from UK and
Wella, one of the leading international beauty suppliers from Germany, to train the
students in beauty treatment with international standard. The academy admits students
based on a personal screening and interview. Once the students successfully complete the
specified course, and the best get offered a job at our Salons Green Trends and Limelite.

1.3.2 Two Major Brands under Trends In Vogue

• Limelite
• Green Trends
1.3.2.1 Limelight
In an age where a premium is placed on looking and feeling good, and the desire
to be attractive is on the rise in India, Limelite,a Lifestyle Salon, which offers you a
complete grooming experience you would never forget. Limelite has a spacious and an
inviting ambience, talented and trained aestheticians, who are committed to deliver
outstanding service with personalised attention. So when you walk out, you have the
satisfaction of having been treated by the best. An Upmarket Unisex Salon with Spa
facilities, Limelite is the only such combo experience to suit your lifestyle

Limelite offers a wide range of new-age hair dos, facials, body massage and hair
styling and colouring services. The Salon also offers oxygen therapy, aromatherapy,
expert counselling, skin care, make-up, hair and foot spa, colouring and an extensive
array of body treatments. In addition Limelite has exotic unique services such as Pina

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Colada Manicures and Pedicures, Choco dip Pedicures, Body Wrap, Milk Bath, Mango
Butter Facial and Baby corn Butter Scrubs to pamper you. It has a separate ladies private
studio and an exclusive kid's colourful section with staff especially trained.

All services are offered by trained and certified personnel. Bored with gifting
loved ones nicely wrapped conventional gifts? Limelite also offers gift vouchers of
different denominations which can be used for the beauty or spa treatment at Limelite.
Currently Limelite has outlets in many locations in Chennai, Bangalore and Delhi and we
plan to expand to become India's leading chain of unisex Salons. So come, indulge
yourself in a lifetime grooming experience and we, at Limelite, believe, we‘ll have you
coming back for more

1.3.2.2 Green Trends

From neighborhood Parlour to a more professional branded Salon, Green Trends
is a Family Beauty Salon which focuses on personal attentive grooming with an accent on
natural products at an affordable price. The Salon is spacious, the interiors, well
designed, with a spa room and a steam bath. While the men's and women's sections have
been conveniently separated, there is a special area reserved for kids.
Green trends believes in making you beautiful ‘Naturally beautiful from head to toe' with
its passion for delivering beauty naturally. They have a panel of experts who will answer
queries on beauty, skin care and personal grooming.
Staffs are Cosmetologists and specialist beauty care professionals trained by international
experts at the Trends Academy of Aesthetics. Located in different residential pockets in
Chennai, and Bangalore, Green Trends is the most popular destination for family
grooming.

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1.3.3 Mission

• To provide the customer an unparalleled service experience

• To provide the customer the largest range of natural product and service
• To be the first to introduce sub-formats and value-added services
• To be the most preferred family beauty salon chain for customers, employees
and alliance partners
• To provide consistent profits to all stakeholders

1.3.4 Vision
Trends in vogue envision itself being the largest and most-coveted chain of family
beauty salons in India. And to be the first to bring change in the industry through product
innovations, customer – centric service delivery mechanisms, and gratifying the ever –
changing needs of the customer

1.3.5 Values
 Team work
We deeply understand interdependence in woek situation and strive to work as a
highly performing team by relating well with our colleagues, in a open and trusting
manner. We will share information, openly discuss issues and constructively work to
achieve excellence our customers.
 Ownership

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 o We believe that we are an integral part of the organization. We will stretch
and make ourselves responsible / accountable for providing excellence
service to our customers.
o We will be attentive to even small things to maintain high quality work
environment and inform others of issues even when they are not in our
areas of responsibility.
o We will actively participate in all initiatives of the organization and extend
a supportive / helping hand to coworkers in times of crises

1.3.6 Values content

 Integrity
We value honesty and truthfulness in all our interaction with the internal and
external customers and compromise fulfill promises and honor commitments made to
them

 Hygiene
We strongly value hygienic conditions of the highest level in our workplace.
We will maintain it clean, infection-free and odour-free to give p pleasant feeling to us
and to our customers. We will keep our equipments in organized manner without being
cluttered and ensure that they are well maintained and safe for use in our work situations

 Style & Trendy

We will make our services and workplace look contemporary with creative
and pioneering ideas. Our fashionable signature services will make our customers
vibrant and trendy

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1.3.7 Trends Academy
Trends Academy is the first of its kind Beauty training institution in south India.
It has brought professionalism and credited recognition to people who wished to make
beauty a profession. Creating careers in the field of beauty and styling. Trends academy
has ushered in a comprehensive approach with in depth focus on theory and techniques.

1.3.8 Competitor of salon industry

Naturals
Bounce
Style mantra
Studio profile
Salon naina
Lakme
Star & chitara
Every last
Javed & habibs

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 Figure 1.3.9

ORGANIZATION CHART OF TRENDS IN VOGUE

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Source: Company records

1.4 OBJECTIVES OF THE STUDY

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Primary objective

• To study attrition at TRENDS IN VOGUE

Secondary objectives

• To analyse the reason for attrition at TRENDS IN VOGUE

• To study the impact of attrition in the organization
• To understand the inter- personal relationship that existed among employees
• To identify the factors that dissatisfy employees at TIVPL
• To bring out appropriate retention strategies that can be applied at TRENDS IN
VOGUE
• To understand the various benefits provided by TIVPL

1.5 SCOPE OF THE STUDY

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 This study can help the organization to find out the reasons why the employees
leave TRENDS IN VOGUE and their satisfaction with the factors taken for study

 This study can further be expanded to find out the employee retention strategies

 Expectations of the current employees can also be measured for desirable results.

1.6 LIMITATIONS OF THE STUDY

• Some employee were unable to communicate due to language problem

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• There is chance of bias in employees responses
• Some of the employees have given inadequate information, due to lack of time and
work pressure.
• It took more time to explain the questionnaire to respondents since it was collected
through telephone.

CHAPTER - 2
REVIEW OF LITERATURE

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 What is Attrition?

"A reduction in the number of employees through retirement, resignation or

death". Attrition, also known as employee churn, employee turnover, or employee
defection, is an industrial term used to describe loss of employees or Man power.

Attrition is pretty high in the industry these days. Attrition is a universal

phenomenon and no industry is devoid of it, but the degree fluctuates from
industry to industry. Attrition is a serious issue in the industries because the
industry is knowledge-based and hence employees are its “assets”.

Deficiencies like inability to influence employee perception of growth; not

aligning employees to roles based on their individual talent, inflexibility in leadership
styles, are causing conflicts at a very intrinsic level, resulting in knowledge employees
choosing the proverbial “easy way out.”

ATTRITION IS A BUSINESS PERSPECTIVE

Says ABRAHAM.T M, Head-HR, Veeda CR,

Attrition is a phenomenon affecting any business organization in the industry.

Over the past few years, organizations have taken an increased interest in aligning their
HR practices to their business goals.

Where as the deficiencies like inability to influence employee perception of

growth; not aligning employees to roles based on their individual talent, inflexibility in
leadership styles, are causing conflicts at a very intrinsic level, resulting in knowledge

21
employees choosing the proverbial “easy way out.” Employees thus attempt to change
the manager or the work environment, resulting in employee attrition.

ATTRITION OCCURS DUE TO INEFFECTIVE MANAGERS

Says BEENA HANDA, Vice-President-HRM of Claris Life sciences.

“Attrition also happens when people hate their working conditions, do not like their team-
mates or perhaps do not like what they are doing. There are also cases when people leave
their job for family reasons or when they wish to migrate. For example, girls often leave
their jobs when they get married and shift to another city,”

Beyond a point, an employee's primary need has less to do with money, and more
to do with how he's treated and how valued he feels. Much of this depends directly on the
immediate manager. And yet, bad bosses seem to happen to good people everywhere. A
Fortune magazine survey some years ago found that nearly 75 per cent of employees
have suffered at the hands of difficult superiors.

A WORKFORCE MAGAZINE ARTICLE, "Knowing how to keep your best

and brightest," reported the results of interviews with 20,000 departing workers. The
main reason that employees chose to leave was poor management. HR magazine found
that 95 percent of exiting employees attributed their search for a new position to an
ineffective manager.

ATTRITION IS A CRITICAL ISSUE

Whenever a well-trained and well-adapted employee leaves any organization, it

creates a vacuum. The organization loses key skills, knowledge and business

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relationships. And it is not an easy task to find a sustainable substitute. “Situation is
worse when it happens at a critical (decision making) position, as there is a scarcity of
such technical resources in the market affects the company. “Employees want not only
work recognition, but also extra perks.”

COMBATING HIGH ATTRITION

Alarm bells are ringing loudly in corporate corridors as attrition rates in IT

organizations average 22 percent as per a study conducted by the Indian Institute of
Technology, Bombay (IIT-B) with a sample of 1,028 IT companies in the country.

Says Dr. NANDKISHORE RATHI, placement officer of IIT-B, “After doing the
survey, we found that the lack of match between personal requirements and
organizational culture was quite prevalent.”

Along with the three main reasons as mentioned,

• An employee may be concerned about the environment in the organization,

• His compatibility with his supervisors,
• The attention paid to him.

Hence, the reason for an employee leaving a company could be nothing other than
his growth, If companies take proper steps and adopt methods to serve their employees
needs, the challenge of managing attrition will remain low.

TREAT EMPLOYEES LIKE CUSTOMERS

Companies should have a similar approach to employees and customers. A

company should strive to retain an employee in the same way it tries to retain a customer.

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BIJAY SAHOO, Vice-president Talent Engagement & Development Wipro
Technologies

Some employees prefer development to being in a support and maintenance job.

To hold back these people, we give first preference for training them.
RAKESH TIKU, Vice-president Infinite Computer Solutions.

Says BIJAY SAHOO, vice-president, talent engagement and development,

Wipro Technologies, “Companies should have a similar approach to employees and
customers. If a company strives to retain an employee in the same way it tries to retain a
customer, him leaving the organization could be out of question. Communication is the
foundation for the entire process of managing attrition. This communication begins right
from recruitment.

Says RAJEEV MALIK, director, HR, McAfee Software (India), “Conducting

regular meetings and updating employees, especially new entrants, about the company’s
status and achievements is a must.”

Rathi’s recommendation

Dr NANDKISHORE RATHI, placement officer, IIT-B, has a few tips to reduce

attrition,

 For HR managers

• Consider both a person’s culture-fit and job-fit.

• Understand the expectations at the entry level.

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  To curb a high attrition rate

• Top management should communicate continuously with all the

employees about the vision and mission of the company.
• Support HR initiatives aimed at retaining people.
• Line managers or project managers should establish a connection between
the lower-level and top management.
• Manage the company’s growth properly.
• Develop leaders at all levels.
• Train leaders in the skills they need to manage effectively.

Reduce Attrition: Managers and Professional Employees

We can help you adjust your company vision and manager's performance reviews
to reflect employee turnover, and provide mentoring and interpersonal training to
inexperienced managers.

• Develop and communicate a strong strategic vision

• Provide relationship coaching and help people develop to their potential
• Reward managers for their relationship skills - not only on technical know-how
and financial results.

LEADERSHIP CRISIS LEADS TO ATTRITION

Says DESIKAMANI.G is Chief Mentor of Mentor Consulting, Chennai, that
LEADERSHIP CRISIS LEADS TO ATTRITION, Lack of good leaders who can
motivate and guide their teams well is a significant reason for the high rate of attrition in
the industry.

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 Employees don’t leave organizations but their managers. There has been a
phenomenal change in employee perception of “loyalty” over the last decade and is
especially true of knowledge workers. What the organization can expect from an
employee has dramatically changed from “loyalty” to “commitment-to-cause” and so has
the factors causing them.
Deficiencies like inability to influence employee perception of growth; not
aligning employees to roles based on their individual talent, inflexibility in leadership
styles, are causing conflicts at a very intrinsic level, resulting in employees choosing the
proverbial “easy way out.” They attempt to change the manager or work environment and
hope for the best to happen.

FIVE PRINCIPAL REASONS FOR WHICH THE PEOPLE CHANGE

JOBS

• It doesn't feel good around here. This is a corporate culture issue in most cases.
Workers are also concerned with the company's reputation; the physical
conditions of comfort, convenience, and safety, and the clarity of mission.
• They wouldn't miss me if I were gone. Even though leaders do value employees,
they don't tell them often enough. If people don't feel important, they're not
motivated to stay. No one wants to be a commodity, easily replaced by someone
off the street. If they are regarded as expendable, they'll leave for a position where
they're appreciated.
• I don't get the support I need to get my job done. Contrary to opinions heard all-
too-often from management, people really do want to do a good job. When they're
frustrated by too many rules, red tape, or incompetent supervisors or co-workers,
people look for other opportunities.

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 • There's no opportunity for advancement. No, we're not talking about promotions,
although many deserving people would like to move up. The issue here is
learning. People want to learn, to sharpen their skills and pick-up new ones. They
want to improve their capacity to perform a wide variety of jobs. Call it career
security. The desire is for training and development. If workers can't find the
growth opportunities with one company, they'll seek another employer where they
can learn.
• Compensation is the last reason people most leave. That's a brash statement, but
it's true. Workers want fair compensation, but the first four aspects must be strong
by, BIJAY SAHOO, Vice-president Talent Engagement & Development
Wipro Technologies.

MANAGING ATTRITION THROUGH CORPORATE ALUMNI

Says CHANDRAPRAKASH LOONKER is Architect (Assistant Vice-

president), Citigroup, corporate investment bank’s Trading Service Technology in New
York.

Instead of fighting attrition, organizations should manage it well by creating a

network of corporate alumni says Loonker, Indian companies should adopt a model
similar to an educational institute. Maintain and nurture good relations with employees
who leave your company just as educational institutes do with their alumni. The word
“corporate alumni” seems apt here. This can have following benefits:

Alumni are brand ambassadors. People have special love for their first job as they
learn the most from their first job. These employees will continue to help the organization
even years after they have left it.

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 Alumni are the best marketing people you can have. Larger the network, bigger
the army of people working free of charge for the organization. Higher the attrition rate,
faster the network grows.

Corporate alumni can act as great mentors for your employees. Whenever an
employee leaves, encourage his colleagues and juniors to maintain strong ties with him.
This keeps him attached to the organization. Also, your current employees will benefit
from his experiences. High attrition has led to great networking between employees of
different organizations.

Besides helping in business development, alumni can be very helpful in talent

sourcing. Remember, your alumni know your culture. Hence they can select the best
fitting employee for your organization.

 Don’t confront attrition

• Don’t push employees into signing contracts or bonds. Instead negotiate

longer notice and transition periods with them. Disgruntled employee, even if
he stays back due to a contract/bond will cause more harm to the organization
than good.

• Instead of entering into non-poaching agreements in the industry, enter into longer
transition period agreements, which the employees will be more open to.
• Don’t hire overqualified people. Always make sure that each of your employee is
stretched to the maximum of his capabilities. Any employee who finds his job
boring will never be excited about his work.

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 • After recruiting a person if you find that he is overqualified, act fast and move
him into jobs where you can stretch him out. Change culture from project-centric
to a balance of project and people-centric.
• Encourage people to leave for better opportunities. Keep a very open culture
about moving on. This will allow longer notice periods and hence no last minute
transitions. This will increase outflow but it will increase quality inflow too.
Remember that college presentation which had the list of who’s-who, “They are
our alumni” said the presenter.
• Don’t restrict the scope by imposing educational pre- requisites. Hire them as
trainees during summers and hire them full-time based upon performance.
• Higher training costs are usually compensated by lower salaries of newcomers.
Add training costs to “cost-to-company” calculations.

 Hire attitude; Train skills

We can help you hire and inspire appropriate employees...

• Build positive, friendly, teamwork attitudes and commitment to customer services

• Help new employees feel comfortable as they participate as valued team members
• Provide periodic refresher courses to maintain team purpose and functionality.

ATTRITION: A Key Element to a Successful Staffing Program

Says KEN GAFFEY, employee of CPS Personal Services.

Attrition is the loss of an employee though voluntary resignation, or involuntary

resignation. (Sometimes due to illness or death, but even staffing has limits on what it can

29
 control.) It results in the loss of the investment made to hire this person and, based on the
time they have been with the company, the loss of training and professional development
invested in this person. As staffing professionals, our reaction to attrition is not unlike a
fireman's response to fire, or a doctor's response to a fever. It is the enemy.

• Attrition may be the result of other companies offering better salaries and
benefits, but that does not mean you have to feel the need to respond.
• Attrition, like everything else in life, has a price. If you throw enough money at it,
you can make it go away. However, when the cost of preventing attrition exceeds
the cost of hiring and training new employees, then the real enemy is the
assumption that all attrition can and should be prevented.
• Attrition allows HR and Staffing to be exposed to a level of honest feedback via
exit interview data that they would never get from an employee who intended to
remain and hopefully build a career within the company.
• Attrition is not only a function of "how many" left this year, but "who" left this
year.

Exit Interviews

Exit interviews provide an excellent source of information of internal problems,

employees' perceptions of the organization, underlying workplace issues, and managers'
leadership abilities.

“…People don’t leave jobs, they leave managers..! Replace managers who will not
develop relationship skills…”

ATTRITION BECOMES PROBLEMATIC

30
 Turnover is likely to be problematic from a management point of view. This is
especially true of situations in which you are losing staff to direct competitors or where
customers have developed relationships with individual employees as is the case in many
professional service organizations. Some employee turnover positively benefits
organizations. This happens whenever a poor performer is replaced by a more effective
employee, and can happen when a senior retirement allows the promotion or acquisition
of welcome 'fresh blood'.

WHEN DOES EMPLOYEE TURNOVER BECOME

PROBLEMATIC?
There is no set level of employee turnover above which effects on the employing
organization becomes damaging. Everything depends on the type of labor markets in
which you compete. Where it is relatively easy to find and train new employees quickly
and at relatively little cost (i.e. where the labor market is loose), it is possible to sustain
high quality levels of service provision despite having a high turnover rate. By contrast,
where skills are relatively scarce, where recruitment is costly or where it takes several
weeks to fill a vacancy.

Moderate levels of staff turnover can also help to reduce staff costs in
organizations where business levels are unpredictable month on month. In such situations
when business is slack it is straightforward to hold off filling recently created vacancies
for some weeks.

Like turnover rates, this can be used across an organization as a whole or for a
particular part of it. The usual calculation for the stability index is:

31
 (Number of staff with one or more years service x 100 divided by Number
employed a year ago)

ATTRITION OCCURS DUE TO

• Ineffective managers and management.

• Employee’s ineffective compatibility with supervisors.
• Inadequate working environment and conditions.
• Lack of pay for performance.
• Loss of opportunity for employee’s advancement.
• Pushing employees into contracts, agreements or bonds.
• Hiring over qualified people in corporate by the management
• Lack of attention paid to the employee.
• Lack of communication towards the superiors.
• Inadequate training to the employees.
• Loss of development in relationship between employees.
• Uncontrollable stress.

WHY DO EMPLOYEES LEAVE ORGANISATIONS

Employees resign for many different reasons. Sometimes it is the attraction of a

new job or the prospect of a period outside the workforce which 'pulls' them; on other
occasions they are 'pushed' due to dissatisfaction in their present jobs to seek alternative
employment. Every company normally faces one common problem of high employee
turnout ratio. People are leaving the company for better pay, better profile.

32
 Sometimes it is mixtures of both pull and push factors. For a fourth group reasons
for leaving are entirely explained by domestic circumstances outside the control of any
employer, as is the case when someone relocates with their spouse or partner.

Recent research strongly suggests that push factors are a great deal more
significant in most resignations than most managers appreciate. It is relatively rare for
people to leave jobs in which they are happy, even when offered higher pay elsewhere.
Most staff has a preference for stability.

It is important to appreciate that the reasons people give for their resignations are
frequently untrue or only partially true. The use of exit interviews is widespread yet they
are notoriously unreliable, particularly when conducted by someone who may later be
asked to write a reference for the departing employee.

"People leave managers not companies," write the authors Marcus Buckingham
and Curt Coffman. "So much money has been thrown at the challenge of keeping good
people - in the form of better pay, better perks and better training - when, in the end,
turnover is mostly manager issue." If you have a turnover problem, look first to your
managers. Are they driving people away?

“Attrition refers to a method of achieving a reduction in personnel by not refilling

positions that are vacated through resignation, reassignment, transfer, retirement, or
means other than layoffs”
There are other factors one should keep in mind.

• Attrition and span of service in the Company

• Attrition and Age level
• Attrition Job Level Band

33
 • Attrition and Gender
• Attrition and Education Studying all these factors will help you to find the
Remedial, Corrective actions to reduce the Attrition.

EMPLOYEES LEAVE ORGANIZATIONS FOR A RANGE OF

REASON
A Fortune magazine survey some years ago found that nearly 75 per cent of
employees have suffered at the hands of difficult superiors.

Most employees leave their work for reasons other than money - and your
organization can correct these reasons. Most leaving employees seek opportunities that
allow them to use and develop their skills. Leaving employees want more meaning in
their work. They often indicate that they want to use their qualities and skills in
challenging teamwork led by capable leaders.

A range of reasons are,

• Selection of the wrong job.

• Lack of proper induction / orientation, creates frustration.
• Lack of future scope.
• Lack of promotion opportunity.
• Poor perception / relation with boss.
• Lack of career planning.
• Poor implementation of performance appraisal.
• Lack of performance management system.
• Lack of pay for performance.

34
• Travel hazard, prefer close to home.
• High expectation of the employee.
• Prefer self employment.
• A flat organization, hence limited scope for progress.

CHAPTER - 3
RESEARCH METHODOLOGY

35
 RESEARCH

Research includes scientific and inductive thinking which promotes development

if logical habits of thinking and organization it has special significance in solving various
operational and planning problems of business and industry.

A careful investigation or inquiry through search for new facts in any branch of
knowledge. Research methodology is a way to systematically solve the research problem.
It may be understood as a science of studying how research is done scientifically. In this
we study about various steps that are generally adopted by researchers in studying his
research problem along with logic behind them.

3.1 RESEARCH DESIGN

“A research design is the arrangement of conditions for collection and analysis
data in a manner that aims to combine relevance to the researcher purpose with economy
in procedure”.

It constitutes the blueprint for the collection, measurement and analysis of data.
As such the design includes an outline of what the researcher will do form writing the
hypothesis and its operational implication to the final analysis of data.

3.2 SAMPLE DESIGN

36
 The sample design is a definite plan for obtaining a sample from a given
population. It refers to the technique or procedure would adopt to selecting a items for the
sample. Sample design may as well lay down to be included in the sample i.e. the size of
the sample. Sample design is determined before data are collected. There are many
sample design from which a researcher can choose. Some designs are relatively more
precise and easier to apply than others.

3.2.1TYPE OF UNIVERSE

The first step in developing any sample design is to clearly define the set of
objects, technically called a universe to be studied. The universe can be finite or infinite.
In finite universe the number of items is certain, but incases of an infinite universe the
number of items is uncertain. This project population is approximately 300*

3.2.2 SAMPLE SIZE

This refers to the number of items to be selected from the universe to constitute a
sample. The sample size used in this study is 100 numbers; they are left employees, at
Trend in Vogue Pvt., Ltd., Chennai

3.2.3 SAMPLING TECHNIQUE

There is different type of sample design based on two factors viz. representation
basis and element selection technique. On. Representation basis the sample is classified
into
 Probability sampling
 Non-probability sampling
The project is taken the Simple random sampling.

37
3.2.3.1 SIMPLE RANDOM SAMPLING

Probability sampling is also known as ‘random sampling’ or ‘chance sampling’.

Under this sampling design ever item of the universe equal chance of inclusion in the
sample.

3.3 DATA COLLECTION

There are two type of data collection
• Primary data
• Secondary data

 Primary Data

. In this project, the data is collected to know about the Attrition rate of employees
in the organization, both directly and indirectly (phone) communicating with them. The
data are those, which is collected as fresh and first time, and thus happens to be original
in character. Hence the data here used is said to be as primary data.

3.3.1 TOOLS FOR DATA COLLECTION

There are several methods of collecting primary data, particularly in surveys and
descriptive researches. The tools used in this project are:-

3.3.1.1 QUESTIONNAIRE

A Questionnaire-cum-schedule was constructed with 26 questions to obtain the

necessary information for the research

38
  Secondary Data

Secondary data was collected from Internet, books, journals, and company
records.

3.4 STATISTICAL TOOLS

 Percentage method
 Chi-square test
 Weighted average method and

3.4.1 PERCENTAGE METHOD

This is one of the widely used methods to analyse the collected data. The
percentage method is calculated by number of respondents divided by total number of
respondents, which is multiplied by 100.

No of Respondent

Percentage analysis = x 100

Total no. of Respondents

3.4.2 Chi-Square Test

It is a useful measure of comparing experimentally obtained results with those

expected theoretically and based on the hypothesis. Chi-square test involves comparison

39
of expected frequency (Ei) with observed frequency (Oi) to determine whether difference
between the two is greater than the tabulated value that might occur by chance.
Formula χ 2
= ∑ (O – E)2 / E
Where, O = Observed Frequency, E = Expected frequency.
Uses

 It is used to check the goodness of fit among the variables.

 It is widely used to test the independence of attributes.

3.4.3 WEIGHTED AVERAGE METHOD

There are cases where the relative importance of the different item is not the
same. When it so the researcher can use the weighted arithmetic mean. The ‘weight’
stands for the relative importance of the different items. The formula for computing
weighted arithmetic mean is,
Xw = ∑XY / ∑W

Where Xw represents the weighted arithmetic mean.

X represents the variable values, i.e., X1, X2,……… Xn
W repredents the weighted attached to variable values, i.e.,
W1,W2,……….Wn respectively
An important problem that arises while using weighted mean is recording
selection of weights. Weights may be either actual or arbitrary i.e., estimated. However,
in the absence of actual weights, arbitrary or imaginary weights may be used. The use of
arbitrary weights may be lead to some error, but it is that 0 not at all.

40
 3.5 DATA ANALYSIS AND INTERPRETATION

ANALYSIS USING PERCENTAGE METHOD

3.5.1 AGE OF RESPONDENTS

TABLE 3.5.1 Age of respondents

Age No. of respondents Percentage (%)

20-25 38 38

25-30 47 47

30-35 13 13
35-40 1 1
45-50 1 1
Total 100 100
Source: Primary Data

Inference:
The above table infers that, 47 % belong to the age group of 25-30 years, 38 %
belong to the age group of 20-25 years, 13 % belong to the age group of 30-35 years, 1 %
belong to the age group of 35-40 years, and 1 % belongs to the age group of 45-50 years.

41
 Figure 3.5.1 Age of Respondents

50 47

38
40
RESPONDENTS

30

20
13
10
1 1
0
20-25 25-30 30-35 35-40 45-50
AGE OF RESPONDENTS

42
3.5.2 GENDER OF RESPONDENTS

TABLE 3.5.2 Gender of respondents

Gender No. of Respondents Percentage ( % )

Male 51 51

Female 49 49

Total 100 100

Source: Primary Data

Inference:

The above table infers that, 51 % of the respondents are male

and 49 % of the respondents are female.

43
 Figure 3.5.2 Gender of the Respondents

Male
49%
51% Female

44
 3.5.3 QUALIFICATION OF RESPONDENTS

TABLE 3.5.3 Qualification of respondents

Qualification No. of respondents Percentage (%)

6-10 47 47

11-12 24 24

Diploma in hair and beauty 15 15

Graduate 14 14

Total 100 100

Source: Primary Data

Inference:

The above table infers that, 47 % of the respondents are having SSLC to below
SSLC qualification, 24 % of the respondents are having higher secondary qualification,

45
15 % of the respondents are having diploma in hair and beauty, and 14 % of the
respondents are having graduate.

Figure 3.5.3 Education qualification of the respondents

50 47
RESPONDENTS

40

30 24
20 15 14
10
0
6--10 11--12 Diploma in hair Graduate
and beauty
QUALIFICATION

46
3.5.4 DESIGNATION OF RESPONDENTS

TABLE 3.5.4 Designation of respondents

Designation No. of Respondents Percentage (%)

Hair and beauty 78 78
Hair and beauty and spa 5 5
Senior hair and beauty 3 3
Service provider 12 12
Spa 1 1
Tattoo artist 1 1
TOTAL 100 100
Source: Primary Data

Inference:

The above table infers that, 78 % of the respondents are coming under hair and
beauty, 12 % of the respondents are service provider, 5 % of the respondent are hair,

47
beauty and spa, and 3 % of the respondents are senior hair and beauty, 1 % of the
respondent is Spa and 1% of the respondent is tattoo artist.

Figure 3.5.4 Designation of the respondents

90 78
RESPONDENTS

80
70
60
50
40
30
20 12
5 3 1 1
10
0
Hair and Hair and Senior hair Service Spa Tattoo artist
beauty beauty and and beauty provider
spa

DESIGNATION

48
3.5.5 TOTAL YEARS OF EXPERIENCE

TABLE 3.5.5 Total years of experience

Total
experience No. of respondents Percentage (%)

1 To 5 36 36

5 To 10 48 48

11 To 15 13 13

15 To 20 3 3

Total 100 100

Source: Primary Data

Inference:

49
 The above table infers that, 48 % of the respondents are having 5 to10years of
experience, 36 % of the respondents are having 1to 5 years of experience, 13 % of the
respondents are having 11 to 15 years of experience, and 3 % of the respondents are
having 15 to 20 years of experience.

Figure 3.5.5 Total work experience of respondents

60
48
50
RESPONDENTS

40 36

30
20 13
10 3
0
1 To 5 5 To 10 11 To 15 15 To 20

EXPERIENCE

50
3.5.6 WORK EXPERIENCE AT TIVPL

TABLE 3.5.6 Work experience at TIVPL

Worked in TIVPL No. of respondents Percentage (%)

Less than 1 Years 16 16

1 to 3 Years 45 45

4 to 5 Years 24 24

Above 5 Years 15 15

Total 100 100

Source: Primary Data

Inference:

51
 The above table infers that, 45 % of the respondents are having 1 to 3 years of
experience, 24 % of the respondents are having 4 to 5 years, 16 % of the respondents are
having less than 1 year worked at TIVPL, and 15 % of the respondents have above 5
years work experience at TIVPL

Figure 3.5.6 Work experience at TIVPL

50 45

40
RESPONDENTS

30 24
20 16 15

10

0
Less than 1 1 to 3 Years 4 to 5 Years Above 5 Years
Years
WORK EXPERIENCE

52
3.5.7 REASON FOR JOINING TIVPL

TABLE 3.5.7 Reason for joining TIVPL

Reason No. of respondents Percentage (%)

Career growth 35 35

Statutory benefits 8 8

Flexible work hour 3 3

Learn about beauty 37 37

To earn money 17 17

Total 100 100

Source: Primary Data

Inference:

53
 The above table infers that, 37 % of the respondents joined to learn about beauty,
and 35 % of the respondents joined for career growth, 17 % of the respondents joined to
earn money, 8 % of the respondents joined for statutory benefits, and 3 % of the
respondents joined for flexible working hour.

Figure 3.5.7 Reason for joining at TIVPL

40 35 37
RESPONDENTS

30
20 17
8
10 3
0
Career Fair and Flexible Learn about To earn
growth benefits work hour beauty money

REASON

54
3.5.8 INITIAL IMPRESSION GIVEN BY TIVPL*

TABLE 3.5.8 Initial impression given by TIVPL

No. of
Initial impression respondents Percentage (%)
Challenging work
environment 12 12

Career prospectus 20 20

Job security 20 20
Passionate and creative
profession 41 41
Autonomous roles &
responsibilities 7 7

Total 100 100

Source: Primary Data

55
 Inference:

The above table infers that, 41 % of the respondents’ initial impression was
passionate & creative profession, 20 % of the respondents was career prospectus, 20 % of
the respondents was job security, 12 % of the respondents was challenging work
environment, and 7 % of the respondents’ initial impression given was autonomous roles
and responsibilities

Figure 3.5.8 Initial impression given by TIVPL

45 41
40
35
30
RESPONDENTS

25
20 20
20
15 12
10 7
5
0
Challenging career Job security Passionate Autonomous
work prospectus and creative roles &
environment profession responsibility
INITIAL IMPRESSION

56
3.5.9 BENEFITS RECEIVED FROM TIVPL

TABLE 3.5.9 Benefits received from TIVPL

Benefits No. of respondents Percentage (%)

Statutory Benefits and
compensation 43 43

Good working environment 35 35

More incentive 6 6
Time off during family
emergency 3 3

Comfortable work timing 13 13

TOTAL 100 100

Source: Primary Data

57
Inference:

The above table infers that, 43 % of the respondents received statutory benefits
and compensation, 35 % of the respondents received Good working environment, 13 %
of the respondents received comfortable work timing, 6 % of the respondents received
more incentive, and 3 % of the respondents received time off during family emergency
from TIVPL.

Figure 3.5.9 Benefits received from respondents

58
 RESPONDENTS

0
5
10
15
20
25
30
35
40
45
50

Statutory
benefits and
43

compensation

Good
working
35

environment

More
6

59
incentive

BENEFITS
Time off
3

during family

3.5.10 RECOGNITION PROVIDED BY TIVPL

emergency

comfortable
13

work timing
 TABLE 3.5.10 Recognition provided by TIVPL

No. of
Recognition respondents Percentage (%)
Acknowledgement in front of employee 11 11
Appreciation 32 32
Gift voucher 1 1
Incentive 36 36
Praise 9 9
Rewards 11 11
TOTAL 100 100
Source: Primary Data

Inference:

The above table shows that, 36 % of the respondents got incentive, and 32 % of
the respondents got appreciation, 11 % of the respondents got acknowledgement in front
of employee, 11 % of the respondents got rewards, 9 % of the respondents got Praise,
and 1 % of the respondents got gift voucher from the TIVPL.

Figure 3.5.10 Recognition of respondents

60
 RESPONDENTS

10
15
20
25
30
35
40

0
5
Acknowledgement

11
in front of
employee
32

Appreciation
1

Gift voucher

61
36

Incentive
RECOGNITION

3.5.11 CUSTOMER HANDLED PER DAY

9

Praise
11

Rewards
 TABLE 3.5.11 Customer handled per day

Customers No. of respondents Percentage (%)

1 To 5 14 14

5 To 10 27 27

10 To 20 53 53

Above 20 6 6

TOTAL 100 100

Source: Primary Data

Inference:

The above table shows, 53 % of the respondents handled 10 to 20 customers,

27 % of the respondents handled 5 to 10 customers, 14 % of the respondents
handled 1 to 5 customers, and 6 % of the respondents handled above 20 customer.

Figure 3.5.11 Customer handled per day

62
 60 53
50
RESPONDENTS

40
27
30
20 14
10 6

0
1 To 5 5 To 10 10 To 20 Above 20
CUSTOMER

3.5.12 OPINION ON TRAINING

63
 TABLE 3.5.12 Opinion on training

Training provided No. of respondents Percentage (%)

Excellent 49 49

Good 30 30

Average 20 20

Poor 1 1

Total 100 100

Source: Primary Data

Inference:

The above table indicates that, 49 % feel the training provided is excellent, 30 % feel
it is good, 20 % feel it is average and 1 % feel it was poor

Figure 3.5.12 Opinion on training

64
 60
49
RESPONDENTS

50
40 30
30 20
20
10 1
0
Excellent Good Average Poor
TRAINING

3.5.13 FEELING AS A PART OF THE ORGANIZATION

65
 TABLE 3.5.13 Feeling as a part of the organization

No. of
Part of this organization respondents Percentage (%)

Yes 89 89

No 11 11

TOTAL 100 100

Source: Primary Data

Inference:
The above table indicates that 89 % feel they are a part of the organization and 11 %
feel they are not part of the organization.

Figure 3.5.13 Part of the organization

66
 11%

Yes No

89%

3.5.14 CHANGES UNDERGONE AFTER JOINING TIVPL

67
 TABLE 3.5.14 Changes undergone after joining TIVPL

Changes undergone No. of respondents Percentage (%)

Change in attitude 24 24

Improvement in communication 28 28

Technical knowledge exposure 48 48

Total 100 100

Source: Primary Data

Inference:

The above table indicates that, 48 % of the respondents have undergone technical
knowledge exposure, 28 % have undergone improvement in communication, and
24 % have undergone change in attitude.

Figure 3.5.14 Changes undergone after joining TIVPL

68
 Change in attitude

24%

Improvement in
communication
48%

Technical knowledge
28% exposure

3.5.15 SUPPORT FROM SUPERIOR

69
 TABLE 3.5.15 Support from superior

Support from superior No. of respondents Percentage (%)

Always 33 33

Often 21 21

Sometimes 32 32

Rarely 11 11

Never 3 3

Total 100 100

Source: Primary Data

Inference:

The above table indicates that, 33 % of the respondents feel they get support
always, and 32 % of the respondents get support sometimes, 21 % of the respondents
get support often, 11 % of the respondents feel rarely, and 3 % of the respondents feel
they never get support from superior.

Figure 3.5.15 Support from superior

70
 35 33 32
30
RESPONDENTS

25 21
20
15 11
10
5 3

0
Always Often Sometimes Rarely Never
SUPPORT

3.5.16 BASES FOR REWARDS

71
 TABLE 3.5.16 Bases for rewards

Rewards No. of respondents Percentage (%)

Creativity 2 2
Maintaining good customer
relationship 20 20

Overall performance 26 26

Service target achievement 52 52

Total 100 100

Source: Primary Data

Inference:

The above table indicates that, 52 % of the respondents feel rewards are based on
service target achievement, 26 % feel overall performance, 20 % feel maintaining
good customer relationship, and 2 % of the respondents feel creativity as bases for
rewards.

Figure 3.5.16 Bases for rewards

72
 60 52
50
40
RESPONDENTS

30 26
20
20
10 2
0
Creativity Maintaining Overall Service target
good customer Performance achievement
relationship
REWARDS BASES

3.5.17 SUPERIOR ATTITUDE TOWARD EMPLOYEE MISTAKE

73
 TABLE 3.5.17 Superior attitude toward employee mistake

The attitude of the superior No. of respondents Percentage (%)

Negative 23 23

Positive 25 25

Neutral 52 52

Total 100 100

Source: Primary Data

Inference:
The above table indicates that, 52 % of the respondents feel the attitude is neutral,
25 % feel the attitude is positive, and 23 % feel the attitude is negative.

Figure 3.5.17 Attitude of the superior when employee commits mistake

74
 23%
Negative

52% Positive

25%
Neutral

3.5.18 WORK INFLUENCE

75
 TABLE 3.5.18 Work influence

No. of
Motivation for work respondents Percentage (%)

Company environment 13 13

Family situation 11 11

Salary 15 15

Passion for the job 61 61

Total 100 100

Source: Primary Data

Inference:

The above table indicates that, 61% of the respondents are influenced by passion
for the job, 15 % by salary, 13 % by company environment, and 11% of the
respondents by family situation.

Figure 3.5.18 Work influence

76
 70
61
60
50
RESPONDENTS

40
30
20 13 15
11
10
0
Company Family situation Salary Passion for the
environment job
MOTIVATION

3.5.19 RELATIONSHIP WITH COLLEAGUES

77
 TABLE 3.5.19 Relationship with colleagues

Relationship No. of respondents Percentage (%)

Friendly Relationship 79 79

Work Relationship 21 21

Negative Relationship 0 0

No Relationship 0 0

Total 100 100

Source: Primary Data

Inference:

The above table shows that, 79 % of the respondents have friendly relationship,
and 21 % of the respondents have work relationship with their colleagues.

Figure 3.5.19 Relationship existed between colleagues

78
 21%

Friendly Relationship
Work Relationship

79%

3.5.20 COMMUNICATION WITH SUPERIOR

79
 TABLE 3.5.20 Communication with superior

Communication No. of respondents Percentage (%)

Always 26 26
Often 34 34
Sometimes 26 26
Rarely 11 11
Never 3 3
Total 100 100
Source: Primary Data

Inference:

The above table shows that, 34 % of the respondents have to communicate

often, 26 % always, 26 % sometimes, 11 % rarely 3 % of the respondents never have
to communicate with superior regarding their job.

Figure 3.5.20 Communication with superior

80
 40 34
35
RESPONDENTS

30 26 26
25
20
15 11
10
3
5
0
Always Often Sometimes Rarely Never
COMMUNICATION

3.5.21 LEVEL OF UNDERSTANDING PERFORMANCE

EVALUATION

81
 TABLE 3.5.21 Level of understanding performance evaluation

Performance evaluation No. of respondents Percentage (%)

To high extent 34 34

To moderate extent 44 44

To low extent 20 20

No 2 2

Total 100 100

Source: Primary Data

Inference:

The above table shows that, 44 % of the respondents feel they understand to
moderate extent, 34 % feel to high extent, 20 % feel to low extent, and 2 % of the
respondents say they don’t understand.

82
 Figure 3.5.21 Understanding of performance evaluation of respondents

50 44
40 34
RESPONDENTS

30
20
20
10 2
0
To high extent To moderate To low extent No
extent
LEVEL OF UNDERSTANDING

83
3.5.22 MEASUREMENT OF PERFORMANCE

TABLE 3.5.22 Measurement of performance

Performance measured No. of respondents Percentage (%)

No. of client handled per month 18 18

Customer relationship building 29 29

Incentive obtained 31 31

Superior customer service 22 22

Total 100 100

Source: Primary Data

Inference:

The above table shows that, 31 % of the respondents feel performance is based on
incentive, 29 % of the respondents feel customer relationship building, 22 % of the
respondents feel superior customer service, and 18 % of the respondents feel number of
clients handled per month.

84
 Figure 3.5.22 Measurement of performance

35 31
29
30
25 22
RESPONDENTS

18
20
15
10
5
0
No. of client Customer Incentive Superior
handled per relationship obtained customer
month building service
PERFORMANCE MEASURED

85
3.5.23 PRIMARY REASON FOR LEAVING THE ORGANIZATION*

TABLE 3.5.23 Primary reason for leaving the organization

Primary reason No. of respondents Percentage (%)

Family reason 16 16
To earn more money 38 38
Working condition 6 6
Problem with superior 24 24
To start own business 16 16
TOTAL 100 100
Source: Primary Data

Inference:

The above table shows that, 38 % of the respondents feel the reason to leave is to
earn more money, 24 % because of problem with superior, 16 % due to family reason,
16 % to start own business, and 6 % of the respondents because of working condition.

86
 Figure 3.5.23 Reason for leaving the job

38
40
35
30 24
25
RESPONDENTS

20 16 16
15
10 6
5
0
Family To earn Working To problem To start a
reason more money condition with own
superior business
REASON

87
3.5.24 MAINLY LACKING ASPECT OF TIVPL*

TABLE 3.5.24 Mainly lacking aspect of TIVPL

Lacking aspect No. of respondents Percentage (%)

Career growth 13 13

Motivation 20 20

Management support 25 25

Salary 42 42

Total 100 100

Source: Primary Data

Inference:

The above table indicates that, 42 % feel salary as lacking, 25 % feel

management support, 20 % feel lack of motivation, and 13 % of the respondents feel lack
of career growth.

88
 Figure 3.5.24 Mainly lacking aspect in TIVPL

45 42
40
35
RESPONDENTS

30 25
25 20
20
13
15
10
5
0
Career growth Motivation Management Salary
support
LACKING ASPECT

89
3.5.25 ATTEMPTING NEW TECHNIQUES IN JOB

TABLE 3.5.25 Attempting new techniques in job

New techniques No. of respondents Percentage (%)

Always 25 25

Occasionally 54 54

Never 21 21

Total 100 100

Source: Primary Data

Inference:

The above table shows that, 54 % of the respondents occasionally attempt new
techniques, 25 % always, and 21 % of the respondents never attempt new techniques in
job.

90
 Figure 3.5.25 New techniques in job

21% 25%
Always

Occasionally

Never

54%

91
3.5.26 STRESS AMONG EMPLOYEE

TABLE 3.5.26 Stress among employee

Feel stress No. of respondents Percentage (%)

Yes 28 28

No 72 72

Total 100 100

Source: Primary Data

Inference:

The above table indicates that, 72 % of the respondents have no stress and 28 %
of the respondents have stress.

92
 Figure 3.5.26 Feeling of stress

28%

Yes

No

72%

93
3.5.27 KIND OF STRESS

TABLE 3.5.27 Kind of stress

Kinds of stress No. of respondents Percentage (%)

Work pressure 3 3

More target 23 23

Over time 2 2

Not applicable 72 72

Total 100 100

Source: Primary Data

Inference:

94
 The above table shows that, 72 % of the respondents find stress is not applicable,
23 % of the respondents feel due to more target, 3 % feel due to work pressure, and 2 %
of the respondents due to over time.

Figure 3.5.27 Kinds of stress

80 72
70
60
RESPONDENTS

50
40
30 23
20
10 3 2
0
Work pressure More target Over time Not applicable
STRESS

95
3.5.28 METHODS TO REDUCE STRESS

TABLE 3.5.28 Methods to reduce stress

Methods No. of respondents Percentage (%)

Meditation 0 0
Yoga 0 0
Indoor games 8 8
Music 43 43
No programs 49 49
Total 100 100
Source: Primary Data

Inference:

96
 The above table shows that, 49 % of the respondents do not undergo any
programs to reduce stress, 43% of the respondents listen to music, and 8 % of the
respondents play indoor games is to reduce stress.

Figure 3.5.28 methods to reduce the stress

60
49
50 43
RESPONDENTS

40
30
20
8
10
0
Indoor games Music No programs
M ETHODS

97
3.5.29 DISSATISFIED FACTOR*

TABLE 3.5.29 Dissatisfied factor

Dissatisfied factor No. of respondents Percentage (%)

Work pressure 8 8
Management decision 27 27
Working environment 1 1
Pay structure 6 6
Others 58 58
Total 100 100
Source: Primary Data

Inference:

The above table shows that, 58 % dissatisfied due to other personal factors, 27 %
of the respondents are dissatisfied due to management decision, 8 % of the respondents

98
are dissatisfied due to work Pressure, 6 % of the respondents are dissatisfied due to Pay
structure, and 1 % of the respondents are dissatisfied due to working environment.

Figure 3.5.29 Respondents dissatisfaction

70
58
RESPONDENTS

60
50
40
27
30
20
8 6
10 1
0
Work Management Working Pay Others
pressure decision environment structure
DISSATISFIED FACTOR

99
3.5.30 SATISFACTION LEVEL OF BENEFITS*

TABLE 3.5.30 Satisfaction level of benefits

Benefits HS S N D HD

Compensation 22 29 39 7 3

Policy Procedure 29 40 26 5 0
Career Development
opportunity 21 33 34 10 2

Equal Treatment 13 44 24 8 11

100
 Source: Primary Data

HS = Highly Satisfied, S= Satisfied, N = Neutral, D = Dissatisfied,

HS = Highly Dissatisfied

Inference:
The above table shows regarding satisfaction level of the respondents that, 39 %
of the respondents feel compensation is neutral and 40 % of the respondents feel policy
procedure is satisfied, 34 % of the respondents feel career development opportunity is
neutral and 44 % of the respondents say equal treatment is satisfied.

Figure 3.5.30 Satisfaction level of the respondents

101
 50
45
Highly satisfied
40
RESPONDENTS

35
30 Satisfied
25
20 Neutral
15
10 Dissatisfied
5
0 Highly dissatisfied
Compensation Policy Career Equal
Procedure Development Treatment
opportunity
BENEFITS

3.6 STATISTICAL ANALYSIS

102
 3.6.1Chi square test between Primary reason for leaving the job and
Mainly lacking aspect in TIVPL

TABLE 3.6.1 Observed data for primary reason for leaving the job and mainly lacking
aspect in TIVPL

To Family
Problem start a reason
Primary reason
To earn with own
For leaving Work
more superior business TOTAL
Mainly lacking environment
money
aspect in TIVPL

Career growth 4 2 1 2 3 12

Motivation 5 2 1 9 4 21

Management support 2 1 19 1 1 24

Salary 27 1 2 5 8 43

TOTAL 38 6 23 17 16 100

Source: Primary data

103
STEP: 1
SETTING AN HYPOTHESIS

Ho : There is no significant relationship between mainly lacking in TIVPL

and primary reason for leaving the job
H1 : There is a significant relationship between mainly lacking in TIVPL
and primary reason for leaving the job
STEP: 2
TO FIND THE EXPECTED FREQUENCY

Expected frequency = Corresponding row total * Corresponding column total

Total number of samples

STEP: 3
CALCULATION OF CHI-SQUARE VALUE
Formula

(O-E) 2
χ 2=
E

O = Observed frequency

E = Expected frequency

χ 2 = Chi square

104
 TABLE: 3.6.1.1 Calculation of chi-square value

O E O-E (O-E)2 (O-E)2/E

4 4.56 -0.56 0.31 0.068

2 0.72 1.28 1.63 2.275
1 2.76 -1.76 3.09 1.122
2 2.04 -0.04 00.3 7.843
3 1.92 1.08 1.16 0.607
5 7.98 -2.98 8.88 1.112
2 1.26 0.74 0.54 0.434
1 4.83 -3.83 14.6 3.036
9 3.57 5.43 29.4 8.259
4 3.36 0.64 0.40 0.121
2 9.12 -7.12 50.6 5.558
1 1.44 -0.44 0.19 0.134
19 5.52 13.48 181.7 32.918
1 4.08 -3.08 9.48 2.350
1 3.84 -2.84 8.06 2.100
27 16.34 10.66 113.6 6.954
1 2.58 -1.58 2.49 0.967
2 9.89 -7.89 62.2 6.294
5 7.31 2.31 5.33 0.729
8 6.88 1.12 1.25 0.182
TOTAL 83.063

Source: Primary data

STEP: 4

105
 Level of significance α = 0.05
Degrees of freedom = (R-1) (C-1)
= (4-1) (5-1) = 12
Tabulated value at 5% level of significance and degree of freedom 12 is 21.026

STEP: 5

Calculated value χ 2
83.063) > Tabulated value of χ 2 (21.026)
(

RESULT
Therefore, reject the Null Hypothesis Ho and accept the alternate Hypothesis H1

INFERENCE

There is a significant relationship between mainly lacking aspect in TIVPL

and primary reason for leaving the job

3.6.2 Chi-square Test between initial impression of TIVPL and factor of

dissatisfaction

106
 Table 3.6.2 Observed data for initial impression of TIVPL and factor of dissatisfaction

Initial Impression of
TIVPL Challenging Job
Passion Roles
work Security
Career towards &
Employee environment TOTAL
prospects the responsibility
makes
profession
get dissatisfaction

Work pressure 2 0 3 0 3 8

Management decision 9 6 2 3 8 28

Working environment 0 0 1 0 0 1

Pay structure 0 4 1 1 1 7

Others 10 30 5 3 8 56

TOTAL 21 30 12 7 20 100

Source: Primary data

STEP: 1
SETTING AN HYPOTHESIS

107
 Ho: There is no significant relationship between initially joined TIVPL and
factor of dissatisfaction
H1: There is a significant relationship between initially joined TIVPL and
factor of dissatisfaction

STEP: 2
TO FIND THE EXPECTED FREQUENCY

Expected frequency = Corresponding row total * Corresponding column total

Total number of samples

STEP: 3
CALCULATION OF CHI-SQUARE VALUE

Formula

(O-E) 2
χ 2=
E

O = Observed frequency
E = Expected frequency
χ 2 = Chi square

TABLE 3.6.2.1 Calculation of chi-square value

108
O E O-E (O-E)2 (O-E)2/E

2 1.68 0.32 0.102 0.060

0 3.2 -3.2 10.24 6.095

3 0.96 2.04 4.161 4.334

0 0.56 -0.56 0.313 0.558

3 1.68 1.32 1.742 1.036

9 5.88 3.12 9.734 1.655

6 11.2 -5.2 27.04 2.414

2 3.36 -1.36 1.849 0.550

3 1.96 1.04 1.081 0.55

8 5.6 2.4 5.76 1.028

0 0.21 -0.21 0.044 0.209

0 0.4 -0.41 0.168 0.4

1 0.79 0.79 0.624 2.971

0 0.07 -0.07 0.004 0.07

0 0.2 -0.21 0.044 0.22

0 1.47 -1.47 2.160 1.469

4 2.8 1.2 1.44 0.514

1 0.84 0.16 0.025 0.029

109
 1 0.49 0.51 0.260 0.530

1 1.4 -0.4 0.16 0.114

10 11.76 -1.76 3.097 0.263

30 22.4 7.6 57.76 2.578

5 6.72 -1.72 2.958 0.440

3 3.92 0.92 0.846 0.215

8 11.2 3.2 10.24 0.914

TOTAL 29.216
Source: Primary data

STEP: 4
Level of significance α = 0.05
Degrees of freedom = (R-1) (C-1)
= (5-1) (5-1) = 16

Tabulated value at 5% level of significance and degree of freedom 16 is 26.296

STEP: 5

Calculated value of χ 2
29.216) > Tabulated value of χ 2 (26.296)
(

110
RESULT

Therefore, reject the Null Hypothesis Ho and accept the alternate Hypothesis H1

INFERENCE

There is a significant relationship between initial impression of TIVPL and

factors of dissatisfaction

111
 3.6.3 WEIGHTED AVERAGE METHOD

TABLE: 3.6.3.1 Satisfaction Level of benefits

Benefits HS S N D H D

Compensation 22 29 39 7 3

Policy Procedure 29 40 26 5 0

Career Development
opportunity 21 33 34 10 2

Equal Treatment 13 44 24 8 11
Source: Primary data

Scale Representation

• Highly satisfied -- 5
• Satisfied -- 4
• Neutral -- 3
• Dissatisfied -- 2
• Highly dissatisfied -- 1

112
= (22*5) + (29*4) + (39*3) + (7*2) + (3*1)
= 110 + 116 + 117 + 14 + 3 = 360

TABLE 3.6.3.1.1 weighted average Computation table

Source: Primary data

Factors HS S N D HD Total Average Rank

Compensation 110 116 117 14 3 360 72 1

Policy Procedure 58 160 78 10 0 306 61.2 4

Career
Development
opportunity 105 132 102 20 2 359 71.8 2

Equal Treatment 65 176 72 16 11 329 65.8 3

• Highly Satisfied = HS
• Satisfied =S
• Neutral =N
• Dissatisfied =D
• Highly Dissatisfied = HD

INFERENCE

113
From the above table it can be inferred that, the compensation of the company is ranked 1
with an average of 72.

4.1 FINDINGS

• From the Survey it is found that, 47 % belong to the age group of 25-30 years, 38 %
belong to the age group of 20-25 years, 13% belong to the age group of 30-35 years
• The study has found that 51% are male and 49 % are female
• According to the respondents, 47 % are below higher secondary qualification, 24 %
of the respondents are higher secondary qualification, 15 % are diploma in hair and
beauty, and 14 % are Graduates qualification.
• From the Survey it is found that, 78 % of employee designation are Hair and Beauty
• The survey found that 48 % belongs to 5-10 years experience, and 36 % belongs to 1-
5 years experience, and 13 % belongs to 11-15 years experience.
• The survey found that 45 % belongs to 1- 3 years worked at TIVPL, 24 % belongs to
4-5 years worked at TIVPL.
• From the survey it is found that, 37 % of the employee are joined for learn about
beauty and 35 % of the employee are joined for career growth
• The survey found that, 41 % of the respondents initially joined for Passion towards
the profession.

114
• The survey found that, 43 % of the respondents are received statutory Benefits and
compensation, 35 % of the respondents are received Good working environment
• According to respondents 36 % of the respondents have got incentive as recognition

• From the survey it is found that, 53 % of the respondents are handling 10-20
customer in a day
• The study has found that, 49 % of the respondents said Excellent, and 30 % of the
respondents says Good to the training provided by TIVPL
• From the survey found that, 89 % of the respondents said Yes for feeling as a part
of the organization.
• The survey found that, 48 % of the respondents underwent change in Technical
knowledge exposure
• The survey found that, 33 % of the respondents said that they always get support
from superior
• According to the respondents 52 % respondents say bases for rewards as service
target achievement
• The study has found that, 52 % of the respondents said the superior attitude is
Neutral when commit mistake
• According to the respondents regarding motivation for work that, 61 % of the
respondents say passion for the job
• The survey found that, 79 % of the respondents having friendly relationship exists
between colleagues
• According to the respondents 34 % of the respondents say they often communicate
with the superior
• The study has found that, 44 % of the respondents say to moderate extent for
understanding performance evaluation

115
• The survey found that, 31% of the respondents say performance is measured based on
incentive obtained
• According to respondents regarding primary reason for leaving the job that, 38 % of
the respondents said to earn more money
• The survey found that, 42 % of the respondents said salary is mainly lacking aspect of
the company
• According to respondents 54 % of the respondents said they occasionally attempt
new technique in their job
• The study found that, 72 % of the respondents said no stress in their job
• The survey found that, 72 % of the respondents said not applicable regarding kind of
stress
• According to respondents regarding method to reduce stress that, 49 % of the
respondents said they follow no program
• The survey found that, 58 % of the respondents said to get dissatisfaction due to other
factors such low salary, accommodation, not enough new technique in their job, not
weekend holidays, conflict with supervisor
• The study has found that, 65 % of the respondents are unwilling to rejoin

116
 4.2 SUGGESTION

• The company can reduce disparities while setting salary to the employees

• The relationship with the managers and employees within the salon could be
enhanced through motivation programs

• The company can give consideration to outstation employees either by providing free
accommodation and food or for less fee

• While allotting outlet to employees due consideration could be given based on

employees residential areas

• Frequent feedback from employees could be obtained and grievances based on

genuinely could be handled

• The present training provided is well satisfied by employees and could be further
enhanced by providing training based on innovation and current technologies.

117
• Employees could be given freedom to implement their own ideas in the services with
proper supervision

• Salaries could be revised now and then based on experience performance and skill is
would increase their commitment towards their job

• Flexible working hours could be introduced for employees during emergency

situations

• The company could conduct regular meetings to know about what exactly employee
expects regarding their job

4.3 CONCLUSION

Attrition mean “ a reduction in the number of employees through retirement,

resignation or death" employees would love their jobs, like their coworkers, work hard
for their employers, get paid well for their work, have ample chances for advancement,
and flexible schedules so they could attend to personal or family needs when necessary.
And never leave, Attrition levels vary very considerably from industry to industry. The
highest levels of turnover are found in private sector organizations

The current situation of TIVPL various reason reveals why employees leave their
job most of the employee at TIVPL left due to dissatisfaction in salary package and
personal reason such as marriage and family situation

The organization found moderate levels of attrition being a service sector with
growing opportunity and trends. Employees were satisfied with the related trainings

118
provided. Benefits at various levels were provided based on performance, skill and
contribution to the organization

TIVPL can make considerable improvement in term of salary package, benefits

and motivation program, regular meetings then strategy will help to increase employee
commitment and reduce attrition in TIVPL.

APPENDIX

QUESTIONNAIRE
A STUDY ON ATTRITION AT TRENDS IN VOGUE PVT LTD,
PETER’S ROAD, CHENNAI

PERSONAL DATA

Age :
Gender :
Qualification :
Designation :
Experience :

OTHER DETAILS

1. How long did you work for TRENDS IN VOGUE?

 less than one year  one to three years

 four to five years  above five years

119
 2. What was the reason for joining TRENDS IN VOGUE?

 career growth  learning about beauty

 statutory benefits  to earn money  flexible work hours

3. What was the impression you were given when you initially joined TIVPL?

 career prospectus
 passion towards the profession
 challenging work environment
 roles & responsibilities
 job security

4. What benefits did you receive from TIVPL?

 work timing  time off during family emergency

 statutory benefits & compensation  good working environment
 more incentive

5. What type of recognition were you provided with?

 appreciation  praise  acknowledgement in front of other employee

 gift voucher  rewards  incentive

6. How many customers you had handle in a day?

 1 to 5  5 to 10  10 to 20  above 20

7. What was your opinion on the training provided at TIVPL?

 excellent  good  average  fair  poor

8. Did you feel you are the part of this organization?

120
  yes  no

9. What changes did you have to under go to be employee of TIVPL?

 change in attitude  improvement in communication

 technical knowledge exposure

10. How often did you get support from your superior?

 always  often  sometimes  rarely  never

11. Rewards were given on basis of

 creativity  maintaining good Customer relationship

 overall Performance  service target achievement

12. What was the attitude of the superior when you commit mistake?

 negative  neutral  positive

13. What motivated you to work at TIVPL?

 Company environment  family situation  salary  passion for the job

14. What kind of relationship existed between you and your colleagues?

 work relationship  friendly relationship

 negative relationship  no relationship

15. How often did your job require you to communicate with your superior?

 always  often  sometimes  rarely  never

121
 16. Did you have clear understanding of performance evaluation at TIVPL?

 to high extent  to moderate extent  to low extent  no

17 In what way they were measure your performance

 superior customer service  no of client handle in a month
 incentive obtained  customer relationship building

18. Rate your satisfaction

Highly Highly
Factors Satisfied Satisfied Neutral Dissatisfied Dissatisfied
Compensation
Policy Procedure
Career Development
opportunity
Fair Treatment

19. What according to you was the primary reason for leaving for leaving the
TIVPL?
 to earn more money  working condition  problem with superior
 to start a own business  family reason

20. According to you what is mainly lacking aspect in TIVPL?

 Career growth motivation  management support  salary

122
 21. How often did you try new techniques at your job?

 always  occasionally  never

22. Did you feel stress in your job?

 yes  no

23.if yes what was that

 work pressure  more target  over time  not applicable

24. what options the company provides to reduce the stress

 Meditation  yoga  indoor games  music  no programs

25. Which of the following makes you to get dissatisfaction?

 work Pressure  Management decisions

 working Environment  Pay structure  others

26. If given a chance would you like to join TIVPL again YES/NO?

a. If yes, the reason______________________________________

b. If no, the reason ______________________________________

123
124
 REFERENCES

1. C.R. KOTHARI (1990) ‘Research methodology’ 2ND Revised

Edition, New Age International (P) Ltd, Publishers
2. S.Arora,
(2003) Statistics for management, first edition S.chand & company ltd,
New Delhi
3. Gary Dessler (2006) ‘Human Resouece Management’ 10th Edition,
Prentice Hall if India Pvt.Ltd
4. Robert.L. Mathis (2005) ‘Human Resource Management’ 10th
Edition, Thomson-South western
5. P.Jyothi, D.N. Venkatesh (2006), ‘Human Resource Management’
Oxford university Press
6. S. SEETHARAMAN, B. VENKATESHWARA PRASAD (2007)
‘Human resource management’, Scitech publications (India) Pvt.Ltd
7. GUPTA,(2007) ‘Human resource management’, Scitech
publications (India) Pvt.Ltd

WEBSITES

• www.citehr.com
• www.attrition.org/attrition/about.html
• www.answers/topic/attriton.com
• www.trends in vogue.com

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